Employment Tax in Kenya
Employee taxes in Kenya Intro?
Employment taxes in Kenya, commonly referred to as Pay As You Earn “PAYE”
is a monthly tax on the income from employment accrued in or derived from Kenya.
- Employee taxes are broadly classified under the taxes
imposed under the Income Tax Act (cap 470).
- Under the Act, Income Tax is chargeable for each year of
income upon ALL income of a person whether resident or non-resident,
which accrued in or was derived in Kenya.ITA s3(1)
- Tax year for individuals runs from 1 January to 31 December. s.27(3)
- This tax is accounted for by the employer who includes
- any resident person responsible for payment of, or on account of,
emoluments to an employee.
- an agent, manager or other representative so responsible
in Kenya on behalf of a non-resident employer.